Imperfect Competition

question 350

Multiple Choice

Imperfect competition

• A) means there is no competition in the market.
• B) results in less efficient market outcomes.
• C) should always be regulated by the government
• D) is a major cause of externalities in the market.

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Definitions:

Fixed Asset

A long-term tangible piece of property or equipment that a company uses in generating income and is not expected to be consumed or converted into cash within a year.

Current Asset

A current asset is any asset likely to be converted into cash within a year during the normal course of a business.

Units-Of-Output Method

A depreciation method where the expense is based on the number of units produced or the machine's hours used, reflecting actual usage.

Depreciation

The systematic allocation of the cost of a tangible asset over its useful life, reflecting the loss in value over time.